The State Bank of India (SBI) has reported an increase of 137 per cent in profits during the first quarter of the current financial year till June 2012.
The profits of the firm rose to Rs 3,752 crore, ahead of market expectations. The retail advances of the lender increased 12.83 per cent to Rs 186,322 crore during the quarter. The home loans rose 13.04 per cent and auto loan increased 10.97 per cent.
The Net interest income (NII), which is the difference between the interest earned and expended, increased 14.63 per cent during the quarter to Rs 11,119 crore. The Net interest margin as a per cent of total assets fell to 3.57 per cent from 3.85 per cent. The operating profit increased 12.90 per cent.
Meanwhile, SBI’s gross NPAs rose to about 5 per cent of its total assets at about Rs 47,156 crore. Net NPAs were recorded at 2.22 per cent during the quarter.
Pratip Chaudhuri, chairman, SBI said, “We will be recovering these loans through the required ways soon. We expect Rs2,000 crore back to the standard credit in the next few quarters.”
The shares of the company fell 4.26 per cent to Rs 1,888 a share on the Bombay Stock Exchange (BSE).